Pakistani life insurance market benefiting from consumer awareness

Press Release   •   Aug 23, 2012 10:40 BST

The Pakistani life insurance market recorded a positive compound annual growth rate (CAGR) between the years of 2006 and 2010. The industry's growth was predominantly driven by rising consumer awareness with regards to the benefits of life insurance products, their dualistic coverage as a long-term savings instrument, and the development of new distribution channels.

Growth in the Pakistani life insurance segment was supported by the expansion of distribution channel networks during the review period. A strong and efficient distribution channel network ensures insurance companies maintain their cost competiveness. In order to expand their market, life insurance companies are developing new distribution channels.

Through to 2016, Pakistan's economic growth is anticipated to attract higher foreign capital inflows while supporting business and consumer confidence.

Pakistan has a liberalized foreign direct investment (FDI) policy with few restrictions, which is expected to encourage foreign companies to enter into the segment. The SECP has proposed a new regulation for unit-linked life insurance policies in order to provide policyholders with more transparency.

As of 2011, the State Life Insurance Corporation of Pakistan was the leading life insurance company in the Pakistan insurance market, followed by EFU Life Assurance Limited, Jubilee Life Insurance Company Limited and American Life Insurance Company (Pakistan) Limited.

State Life Insurance Corporation is a company that offers a complete range of products to a wide range of clients, ranging from an average man in the street, to the wealthiest of individuals.

EFU Life Insurance, the largest private life insurer in Pakistan, offers a full range of products developed after extensive research of financial sectors in Western countries.

Jubilee Life Insurance brings global experience to Pakistan, providing the best life insurance solutions available in the entire country.

For more information on the Pakistani life insurance market, see the latest research: Pakistani Life Insurance Market Report

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